Employee Leasing Quotes : PEO Blog

NAPEO (the PEO industry organization) estimates the Employee Leasing/PEO industry grew a very robust $5 billion in 2008, to $68 billion in gross revenues. Today, roughly 700 PEOs are operating in all 50 states.

Employers have been quick to catch on to the benefits of PEO services compared to outdated methods of handling employee related administrative tasks. As a professional in the employee leasing/PEO industry, I’ve discovered in my thousands of conversations with business owners over the years that there truly are “PEO personality types”. Here is a short list of the similar characteristics I’ve found to be present in those who inquire about PEO services.

PEO User Characteristics

Place a higher value on their time. They truly live the saying “time is money”.
Will outsource work that they are not an expert in or that simply isn’t profitable.
Excellent at delegating tasks so they can focus on their core strengths.
Take time to listen or read about new industry ideas and opportunities that can impact their business.
Understand the administrative side of the business is just as important for profitability.
Know their labor costs and issues that may influence their rise or fall.
 

Because every business is different and has their own unique set of goals, obstacles and circumstances- it would be foolish to suggest a PEO is the only service that makes sense. But if you haven’t inquired about how a PEO could impact your business, you’ll never know what benefits you and your business may be missing out on. Contact us for answers to your questions. We can be reached at 1-888-582-8388.

www.EmployeeLeasingQuotes.com

Those who own a successful tree service business are smart, tough, patient, hard working, multi-tasking individuals who are used to improvising on a moment’s notice.

Those who aren’t all those things probably aren’t very successful at owning and managing a tree service business.

In a highly competitive, dangerous profession that can sometimes feel like an endless Easter egg hunt for quality employees, dealing with payroll and insurance issues is just a frustrating (but necessary) waste of time.

What continues to separate the profitable, successful tree service companies from the rest is the use of employee leasing services.

The reasons why? Let’s start with workers’ compensation insurance. Arborist and tree service companies across the country pay some of the highest workers’ compensation rates of any industry. Employers in Georgia, South Carolina, Alabama and Mississippi pay extremely high rates.

An employee leasing company buys workers’ compensation for thousands of employees, which reduces the overall rate compared to purchasing an individual policy. While a rate reduction has little effect on a clerical employee, there can be dramatic differences on the costs for employers in the tree service business.

For example, let’s say you own a small tree service business in Georgia. You have 5 employees with an annual payroll of $130,000. The state rate for climbers and ground employees is $39.28 per hundred dollars in payroll. This would make your annual premium $51,064.

An employee leasing company that specializes in the tree service industry could potentially save your business up to 20% off the state rate. The annual premium would be a dramatic reduction at $40,846 – an annual savings of over $10,000. Some of the other benefits employers receive are no down payments or deposits and no annual expense constant (money that goes to the state).

An employee leasing company will allow you to concentrate on building and expanding your business while controlling your administrative costs. How much your company saves depends on your current situation.

The benefits of an employee leasing company in the tree service industry enable small business owners to outbid and outwork their competition.

When you’re ready to obtain multiple employee leasing quotes for your business, let us do the work for you. With over 1000 PEO/employee leasing companies that service different markets, states and industries, there may be only a handful that truly fit the needs of your small business.

The power of multiple employee leasing companies competing for your tree service business saves you time and money! Our price and service guarantee eliminates the hassle of interviewing endless salespeople.

Call us for answers. Our information is free and helpful.
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1. Savings on workers’ compensation insurance

2. No more payroll audits

3. No premium deposits or state expense constants

4. Signing checks and executing payroll

5. Filing the 940 FUTA annual reports

6. Filing 941 and 5500 forms

7. Performing FICA and state unemployment deposits

8. Reducing CPA and attorney’s fees

9. Generating and issuing W-2 forms

10. Eliminating errors on payroll deposits, leading to penalties, interest and disgruntled employees

11. Dealing with unemployment claims and appeals

12. Reducing employee benefit costs

13. Enrolling employees in new health insurance plans

14. Administration of a section 125 plan

15. Reducing the time and cost of materials for safety meetings

16. Eliminating the time spent corresponding with taxing authorities

17. Lowering employee litigation costs

18. Lowering cost of safety inspections

19. Writing and updating drug and substance abuse policies

20. Keeping in compliance with COBRA, ERISA, EEOC, ADA, HIPPA, IRS, INS, FMLA, DOL, etc.

This is a short list of the many hassles and headaches an employee leasing company will take off your “to do list”. The opportunity to take the energy you devote to these tasks and put it into increasing your company’s bottom line will give you much success. Call us to make it happen, or log onto Employee Leasing Quotes

1-888-582-8388

1. What do their current customers have to say about them? Ask for and call at least three references.
2. What workers’ compensation carrier do they use? Are they A.M. Best rated?

3. How many years has the employee leasing company been in business?

4. Are they registered with the state? People have been charged and sentenced for illegally operating as an employee leasing company!

5. Does the workers’ compensation policy provide coverage if work is performed in other states (if applicable)?

6. Delivery costs: There can be a difference in $20- 30 a week with employee leasing companies. This can make a substantial difference in your overall costs!

7. Does the employee leasing company apply cut-offs on SUTA and FUTA (State and Federal Unemployment Tax) limits? This can add thousands of dollars onto the overall costs of the services!

If business isn’t exactly booming for you right now, it’s the perfect opportunity to spend some time looking at expenses and how to tighten things up. Let’s face it- when business is good and you’re really busy, the last chore you want at the end of a long day is to compare proposals for services and make changes.

It’s always a punch to the gut to see how much money is actually being spent on things like health insurance, cell phones and other business expenses. With our economy in a downturn, now is a great time to be negotiating almost everything your business requires to run efficiently.

I saw an example of this recently while visiting with a contractor in the plumbing industry. He runs a large company, but over the last year his business has dropped dramatically. He was using employee leasing services but had his group health insurance separately through a local agency.

We looked at future issues to consider and developed some options that created great results. By changing to a new employee leasing company that specialized in benefit options, he was able to save over $13,000 a year on health insurance! Better yet, the new employee leasing company offered a safety incentive program that gave him an opportunity to earn another $10,000 back on worker’s compensation premiums.

His company is likely to see even more long-term savings because the new employee leasing company’s average yearly health insurance rate increase is around 7%- less than half the national average!

If we can help you analyze your overall employee related expenses, please give Employee Leasing Quotes a call. Our information is free and helpful. We can be reached at 1-888-582-8388.

Just as your business is unique from any other, employee leasing (a.k.a. PEO) companies are also very different. As you inquire about employee leasing services, start by understanding the three basic categories that most employee leasing companies fall into.

Top of the Line

When hiring, maximizing and retaining good employees is the primary focus for success and profitability of your business, this group of employee leasing companies offer some incredibly beneficial services.

Designed for white and gray collared businesses, this group’s main strengths are a strong employee benefits platter along with tailored human resource and payroll services. A short list of the services offered in this category of employee leasing companies include:

Medical Benefits with Life and AD&D Dental/ Vision Plans
Supplemental Benefits 401 (K) Plan with Match Options
EPLI Coverage Pay Cards
Employee Tuition Reimbursement  Legal Plans
E-Learning /Webinars Employee Assistance Programs
Flexible Spending Accounts Discounts for Employers & Employees
Time Clock Interface Payroll Helpdesk

Some of the industries served in this group include the following:
Healthcare Hospitality
Professional Services Manufacturing
Retail Industrial
Education Government

Because this group offers a wide array of benefits and services, you can expect to see higher administrative costs for the expenses incurred. All will have employee and annual payroll minimums, different health insurance companies and pricing. Tip: Know the top three services (in order of importance) you need from this group of employee leasing companies and compare from there.

Middle of the Road

If competitive workers’ compensation rates are a high priority, with some benefit options to access, then this may be the group that fits with your business. You’ll want to be careful and selective with this group. Unlike the other two categories that clearly define their niche, many within this group try to be all things to all employers.

Benefits you’re likely to find are:
Medical Benefits with Life and AD&D Dental/ Vision Plans
Supplemental Benefits 401(k) Plan with Match Options

Some of the industries that fit well with this type of employee leasing company would be:

Construction Trades
Restaurants Hotels
Childcare Industrial
Machinery
You can find some all-around great companies within this group if you do your homework. Annual payroll and employee minimums are significantly less in this category of PEO than the “Top of the Line” group. You’ll also find a more competitive administrative cost with this group because less servicing of benefit and human resource functions are involved. Tip: If benefits are the highest priority for your business, it’s worth the nominal increase of moving up to the “Top of the Line” group. 

No Frills

If you need an employee leasing company with low set-up fees, low minimum payrolls and competitive workers’ compensation rates, then this group is a great fit for you. Backed by insurers that underwrite higher risk workers’ compensation classifications, these employee leasing companies are great for keeping insurance and administrative costs down so that you can remain competitive.

Benefits are not an option with these employee leasing companies, but most are capable of making pre-tax deductions for you on any existing benefit plans. Some of the industries you’ll find this group serving are:

Construction Trades
Landscaping Welders
Movers Warehousing

Because they spend little to no time handling benefits and HR issues unlike the other categories, this group delivers very competitive administrative costs. Tip: Years in business is an important factor in this category.

What’s important is to understand what specific services are important to you, your business and employees. Too many times over the years we’ve found companies paying for services they’ll never use, or in need of services that aren’t available. It’s time consuming to have make changes- and of course that costs money. If you’re ready to take a strong look at employee leasing, we can help. Please call us at 1-888-582-8388. Our information is free and helpful!

If you have decided that an employee leasing/PEO service is a smart choice for your business, the next step is determine what specific goals you want to achieve. With so many companies to choose from that specialize in specific industries, markets and states- which one will be the best choice for you?

For example, a contractor that needs to keep workers’ compensation costs to minimum has a totally different objective than a physician’s office in the need of a strong benefits package. This is where the search can be difficult. Many employee leasing companies these days don’t even offer benefits. Their niche may be strictly in the construction and trades industry with an offering of competitive workers’ compensation rates and payroll.

You’ll also find what I would call “hybrid” employee leasing companies that target blue and gray collared employers with limited benefit packages so they can say they offer all the “bells and whistles” too. The final category would be PEOs that really target the white and grays with strong benefit and human resource services. These employee leasing companies will also provide more “extras” like pay cards, special reports and employee assistance programs.

Within those basic tiers of employee leasing companies there are still many factors that separate each. Many in each category, for example, have workers’ compensation policies that only cover the employees in the state they operate from. Some may cover the state of their home office and a few surrounding states, with others offering nationwide coverage.

Health insurance and benefits need to be carefully selected, as well. Great Blue Cross and Blue Shield rates aren’t worth much if you happen to be in an area where the doctor and hospital coverage is limited. A cut-rate plan that requires your employees to drive an hour to see the doctor ends up being more of a nuisance than a benefit.

As you can imagine the overall costs and fees will vary per group. The goal is to really drill down to your business needs and work from there. If you need help or just have questions, call us. Our information is free and helpful!

Employee Leasing Quotes was created to help businesses choose an employee leasing company that fits their unique needs. Please call if you’re interested in seeing what advantages an Employee Leasing company could do for your business. We can be reached by calling 1-888-582-8388 between the hours of 8:30-5:30 EST.

I participate in a variety of networking events on a regular basis- Chamber of Commerce and Builder’s Association meet and greets, etc. I always find it interesting when I meet someone who provides services similar to the ones our company provides.

Whether it’s insurance agents, payroll salespeople, or people who sell employee benefits- I almost always get the “deer in the headlights” look when I mention Employee Leasing and the services we provide. I think the first question running through their head is if they should be communicating with “the competition”. I find I almost always end up with a great business contact and sometimes good friend once the conversation gets going, though. The truth is, these are really great opportunities to exchange referrals and grow both of our businesses.

Look, there’s plenty of business out there for everyone, and all these other types of services have their place too. Otherwise they wouldn’t exist. When I talk with an employer and find out what their specific business needs are, trying to shove a square peg into a round hole never works. I believe it was Zig Ziglar who said “You can have everything you want in life, if you will just help other people get what they want”.

What do you think?

Employee Leasing Quotes was created to help businesses choose an Employee Leasing company that fits their unique needs. Please call if you’re interested in seeing what advantages an Employee Leasing company could do for your business. We can be reached by calling 1-888-582-8388 between the hours of 8:30-5:30 EST.

At just 20 years old, the Employee Leasing, a.k.a. PEO (Professional Employer Organization), industry continues its steamrolling success at a hefty growth rate of almost 30% per year. Approximately 2.5 million Americans are currently co-employed by one of the more than 400 Employee leasing companies operating in the 50 states.

The reason for this trend is the need to outsource the frustrating “business of employment” tasks- such as hiring, human resource training, payroll, benefits and regulatory compliance. Between 1980 and 2000, the number of labor laws and regulations grew by almost two thirds, according to the federal Small Business Administration. This same study estimated owners of small or mid-sized business spent up to a quarter of their time on employment-related paperwork.

Employee leasing companies assume much of this burdensome responsibility and help businesses comply with all regulations. The employer can then focus on the income-producing areas of the business, where he/she is the expert.

Another advantage of using an employee leasing company is their ability to arrange a business’ workers’ compensation coverage with major insurance carriers, as well as manage the claims. They also offer human resources services delivered by certified professionals. Most provide services such as customized employee handbooks, recruitment, pre-employment screening, wage and compensation planning, and assistance with job descriptions.

Employee leasing companies help tens of thousands of businesses provide employee benefits such as health care plans, 401(k) tax-free savings accounts and other perks to their employees. Sponsored benefit programs can include major and supplemental health-care choices, including vision and dental care, employee assistance programs and even adoption assistance. An estimated 95 percent of workers in an employee leasing arrangement have access to a pension plan.

Almost any business can find value in a PEO relationship- clients range from accounting firms and construction to manufacturers and government agencies. The average client is a small business with an average of 19 employees, but some clients have fewer than three employees. Increasingly, larger businesses are signing up, too.

The employee leasing company enables each client company to lower employment costs and increase their business’s bottom line. The client can maintain a simple in-house HR infrastructure or none at all by relying on the employee leasing company. Their professionals can provide critical assistance with employer compliance, which helps protect the client against liability. In fact, employee leasing companies have an 88 percent client retention rate due to strong client satisfaction.

Employee Leasing Quotes was created to help businesses choose an employee leasing company that fits their unique needs. Please call to discover the benefits employee leasing services could have for your business. We can be reached by calling 1-888-582-8388 between the hours of 8:30-5:30 EST.